80_FR_56711 80 FR 56530 - Self-Regulatory Organizations; International Securities Exchange, LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend the Schedule of Fees

80 FR 56530 - Self-Regulatory Organizations; International Securities Exchange, LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend the Schedule of Fees

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 80, Issue 181 (September 18, 2015)

Page Range56530-56531
FR Document2015-23397

Federal Register, Volume 80 Issue 181 (Friday, September 18, 2015) 
[Federal Register Volume 80, Number 181 (Friday, September 18, 2015)]
[Notices]
[Pages 56530-56531]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-23397]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-75911; File No. SR-ISE-2015-29]


Self-Regulatory Organizations; International Securities Exchange, 
LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule 
Change To Amend the Schedule of Fees

September 14, 2015.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934 
(the ``Act'') \1\ and Rule 19b-4 thereunder,\2\ notice is hereby given 
that, on September 9, 2015, the International Securities Exchange, LLC 
(the ``Exchange'' or the ``ISE'') filed with the Securities and 
Exchange Commission (the ``Commission'') the proposed rule change as 
described in Items I, II, and III below, which Items have been prepared 
by the self-regulatory organization. The Commission is publishing this 
notice to solicit comments on the proposed rule change from interested 
persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The ISE proposes to amend the Schedule of Fees to eliminate the 
disaster recovery network fee charged to telecommunications vendors 
that connect to the Exchange's backup datacenter in New York. The text 
of the proposed rule change is available on the Exchange's Web site 
(http://www.ise.com), at the principal office of the Exchange, and at 
the Commission's Public Reference Room.

II. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, the self-regulatory organization 
included statements concerning the purpose of, and basis for, the 
proposed rule change and discussed any comments it received on the 
proposed rule change. The text of these statements may be examined at 
the places specified in Item IV below. The self-regulatory organization 
has prepared summaries, set forth in sections A, B and C below, of the 
most significant aspects of such statements.

A. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for,the Proposed Rule Change

1. Purpose
    The Exchange rents cabinet space in its backup datacenter to 
unaffiliated telecommunications vendors that are responsible for 
redistributing connectivity to market participants that desire access 
in order to maintain connectivity to the ISE when the primary 
datacenter is not operational.\3\ The disaster recovery network fee 
assessed to these telecommunications vendors is based on the amount of 
cabinet space used by each vendor, and is $2,300 per month for a half-
cabinet and $2,800 per month for a full cabinet. The fee is designed to 
recover the cost of running the backup datacenter, including space, 
power, and cooling, and also reflects the value that these 
telecommunications vendors receive from contracting with market 
participants that use their services to connect to the backup 
datacenter.\4\ As the Exchange is in the process of moving its backup 
datacenter to a new facility that members will be able to connect to 
directly, the Exchange now proposes to eliminate the fees charged to 
telecommunications vendors that are connected to the current site. The 
telecommunications vendors that are connected to the backup datacenter 
provide access to members that need connectivity, and are expected to 
keep providing this access while members are gradually transferred over 
to the new disaster recovery site. With the upcoming changes, however, 
the telecommunication vendors, who have already paid substantial 
hardware and other costs in addition to the fees charged by the 
Exchange, may not be able to recoup fees from sufficient market 
participants to cover the cost of maintaining their connections during 
this period. The Exchange therefore believes that it is appropriate to 
eliminate the disaster recovery network fee at this time, and believes 
that doing so will allow telecommunications vendors to continue to 
provide access to the backup datacenter.
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    \3\ For operational reasons, market participants are not 
permitted to connect directly to the backup datacenter, and must go 
through a telecommunication vendor.
    \4\ Telecommunications vendors contract with interested market 
participants that access the datacenter through their services for a 
fee. With this arrangement, the fees that ISE charges 
telecommunications vendors can be spread across multiple market 
participants.

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[[Page 56531]]

2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent 
with the provisions of Section 6 of the Act,\5\ in general, and Section 
6(b)(4) of the Act,\6\ in particular, in that it is designed to provide 
for the equitable allocation of reasonable dues, fees, and other 
charges among its members and other persons using its facilities.
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    \5\ 15 U.S.C. 78f.
    \6\ 15 U.S.C. 78f(b)(4).
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    The Exchange believes that it is reasonable, equitable, and not 
unfairly discriminatory to eliminate the disaster recovery network fee 
as the Exchange is in the process of moving its backup datacenter to a 
new facility. During the period of this move, the Exchange expects that 
the telecommunications vendors currently connected to the backup 
datacenter will continue to provide access to interested parties in 
order to facilitate access to the Exchange in the event the primary 
datacenter is not operational. As members move their connections over 
to the new backup facility, however, the telecommunications vendors 
will be able to provide service to an increasingly narrow field of 
market participants. Given the expected reduction in the demand for 
connectivity through the telecommunication vendors, and the substantial 
hardware and other costs the vendors have already incurred in 
establishing and maintaining connectivity to the backup datacenter, the 
Exchange has determined to eliminate the disaster recovery network fee. 
The Exchange believes that eliminating this fee during the crossover 
period will facilitate access to the backup datacenter while the 
Exchange moves over to its new facility by making it economical for the 
telecommunications vendors to remain connected and to continue to 
provide connectivity to interested market participants.

B. Self-Regulatory Organization's Statement on Burden on Competition

    In accordance with Section 6(b)(8) of the Act,\7\ the Exchange does 
not believe that the proposed rule change will impose any burden on 
intermarket or intramarket competition that is not necessary or 
appropriate in furtherance of the purposes of the Act. The Exchange is 
eliminating a fee charged to telecommunications vendors connected to 
the backup datacenter in anticipation of its move to a new facility. 
This change will facilitate access to the backup datacenter by making 
it economical for the telecommunications vendors to maintain their 
connections so that market participants can connect through them until 
they are moved over to the new backup datacenter, and will not impose 
any burden on competition.
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    \7\ 15 U.S.C. 78f(b)(8).
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C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants or Others

    The Exchange has not solicited, and does not intend to solicit, 
comments on this proposed rule change. The Exchange has not received 
any unsolicited written comments from members or other interested 
parties.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    The foregoing rule change has become effective pursuant to Section 
19(b)(3)(A)(ii) of the Act \8\ and subparagraph (f)(2) of Rule 19b-4 
thereunder,\9\ because it establishes a due, fee, or other charge 
imposed by ISE.
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    \8\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \9\ 17 CFR 240.19b-4(f)(2).
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    At any time within 60 days of the filing of such proposed rule 
change, the Commission summarily may temporarily suspend such rule 
change if it appears to the Commission that such action is necessary or 
appropriate in the public interest, for the protection of investors, or 
otherwise in furtherance of the purposes of the Act. If the Commission 
takes such action, the Commission shall institute proceedings to 
determine whether the proposed rule should be approved or disapproved.

IV. Solicitation of Comments

    Interested persons are invited to submit written data, views and 
arguments concerning the foregoing, including whether the proposed rule 
change is consistent with the Act. Comments may be submitted by any of 
the following methods:

Electronic Comments

     Use the Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml); or
     Send an email to rule-comments@sec.gov. Please include 
File No. SR-ISE-2015-29 on the subject line.

Paper Comments

     Send paper comments in triplicate to Secretary, Securities 
and Exchange Commission, 100 F Street NE., Washington, DC 20549-1090.

All submissions should refer to File No. SR-ISE-2015-29. This file 
number should be included on the subject line if email is used. To help 
the Commission process and review your comments more efficiently, 
please use only one method. The Commission will post all comments on 
the Commission's Internet Web site (http://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments, all 
written statements with respect to the proposed rule change that are 
filed with the Commission, and all written communications relating to 
the proposed rule change between the Commission and any person, other 
than those that may be withheld from the public in accordance with the 
provisions of 5 U.S.C. 552, will be available for Web site viewing and 
printing in the Commission's Public Reference Room, 100 F Street NE., 
Washington, DC 20549, on official business days between the hours of 
10:00 a.m. and 3:00 p.m. Copies of such filing also will be available 
for inspection and copying at the principal office of the Exchange. All 
comments received will be posted without change; the Commission does 
not edit personal identifying information from submissions. You should 
submit only information that you wish to make available publicly. All 
submissions should refer to File No. SR-ISE-2015-29 and should be 
submitted on or before October 9, 2015.
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    \10\ 17 CFR 200.30-3(a)(12).

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\10\
Brent J. Fields,
Secretary.
[FR Doc. 2015-23397 Filed 9-17-15; 8:45 am]
BILLING CODE 8011-01-P

56530 Federal Register / Vol. 80, No. 181 / Friday, September 18, 2015 / Notices Comments may be submitted by any of SECURITIES AND EXCHANGE A. Self-Regulatory Organization’s the following methods: COMMISSION Statement of the Purpose of, and Statutory Basis for,the Proposed Rule Electronic Comments [Release No. 34–75911; File No. SR–ISE– Change • Use the Commission’s Internet 2015–29] 1. Purpose comment form (http://www.sec.gov/ rules/sro.shtml); or Self-Regulatory Organizations; The Exchange rents cabinet space in International Securities Exchange, its backup datacenter to unaffiliated • Send an email to rule-comments@ LLC; Notice of Filing and Immediate telecommunications vendors that are sec.gov. Please include File Number SR– Effectiveness of Proposed Rule responsible for redistributing CBOE–2015–076 on the subject line. Change To Amend the Schedule of connectivity to market participants that Paper Comments Fees desire access in order to maintain connectivity to the ISE when the • Send paper comments in triplicate September 14, 2015. primary datacenter is not operational.3 to Secretary, Securities and Exchange Pursuant to Section 19(b)(1) of the The disaster recovery network fee Commission, 100 F Street NE., Securities Exchange Act of 1934 (the assessed to these telecommunications Washington, DC 20549–1090. ‘‘Act’’) 1 and Rule 19b–4 thereunder,2 vendors is based on the amount of All submissions should refer to File notice is hereby given that, on cabinet space used by each vendor, and Number SR–CBOE–2015–076. This file September 9, 2015, the International is $2,300 per month for a half-cabinet number should be included on the Securities Exchange, LLC (the and $2,800 per month for a full cabinet. subject line if email is used. To help the ‘‘Exchange’’ or the ‘‘ISE’’) filed with the The fee is designed to recover the cost Commission process and review your Securities and Exchange Commission of running the backup datacenter, comments more efficiently, please use (the ‘‘Commission’’) the proposed rule including space, power, and cooling, only one method. The Commission will change as described in Items I, II, and and also reflects the value that these post all comments on the Commission’s III below, which Items have been telecommunications vendors receive Internet Web site (http://www.sec.gov/ prepared by the self-regulatory from contracting with market rules/sro.shtml). Copies of the organization. The Commission is participants that use their services to submission, all subsequent publishing this notice to solicit connect to the backup datacenter.4 As amendments, all written statements comments on the proposed rule change the Exchange is in the process of with respect to the proposed rule from interested persons. moving its backup datacenter to a new change that are filed with the facility that members will be able to I. Self-Regulatory Organization’s connect to directly, the Exchange now Commission, and all written Statement of the Terms of Substance of communications relating to the proposes to eliminate the fees charged the Proposed Rule Change to telecommunications vendors that are proposed rule change between the Commission and any person, other than The ISE proposes to amend the connected to the current site. The those that may be withheld from the Schedule of Fees to eliminate the telecommunications vendors that are public in accordance with the disaster recovery network fee charged to connected to the backup datacenter provisions of 5 U.S.C. 552, will be telecommunications vendors that provide access to members that need available for Web site viewing and connect to the Exchange’s backup connectivity, and are expected to keep printing in the Commission’s Public datacenter in New York. The text of the providing this access while members are Reference Room, 100 F Street NE., proposed rule change is available on the gradually transferred over to the new Washington, DC 20549 on official Exchange’s Web site (http:// disaster recovery site. With the business days between the hours of www.ise.com), at the principal office of upcoming changes, however, the 10:00 a.m. and 3:00 p.m. Copies of such the Exchange, and at the Commission’s telecommunication vendors, who have filing also will be available for Public Reference Room. already paid substantial hardware and inspection and copying at the principal other costs in addition to the fees office of the Exchange. All comments II. Self-Regulatory Organization’s charged by the Exchange, may not be received will be posted without change; Statement of the Purpose of, and able to recoup fees from sufficient the Commission does not edit personal Statutory Basis for, the Proposed Rule market participants to cover the cost of identifying information from Change maintaining their connections during submissions. You should submit only this period. The Exchange therefore In its filing with the Commission, the believes that it is appropriate to information that you wish to make self-regulatory organization included available publicly. All submissions eliminate the disaster recovery network statements concerning the purpose of, fee at this time, and believes that doing should refer to File Number SR–CBOE– and basis for, the proposed rule change 2015–076, and should be submitted on so will allow telecommunications and discussed any comments it received vendors to continue to provide access to or before October 9, 2015. on the proposed rule change. The text the backup datacenter. For the Commission, by the Division of of these statements may be examined at Trading and Markets, pursuant to delegated the places specified in Item IV below. 3 For operational reasons, market participants are authority.24 The self-regulatory organization has not permitted to connect directly to the backup tkelley on DSK3SPTVN1PROD with NOTICES Brent J. Fields, prepared summaries, set forth in datacenter, and must go through a telecommunication vendor. Secretary. sections A, B and C below, of the most 4 Telecommunications vendors contract with [FR Doc. 2015–23394 Filed 9–17–15; 8:45 am] significant aspects of such statements. interested market participants that access the BILLING CODE 8011–01–P datacenter through their services for a fee. With this arrangement, the fees that ISE charges 1 15 U.S.C. 78s(b)(1). telecommunications vendors can be spread across 24 17 CFR 200.30–3(a)(12). 2 17 CFR 240.19b–4. multiple market participants. VerDate Sep<11>2014 18:47 Sep 17, 2015 Jkt 235001 PO 00000 Frm 00094 Fmt 4703 Sfmt 4703 E:\FR\FM\18SEN1.SGM 18SEN1

Federal Register / Vol. 80, No. 181 / Friday, September 18, 2015 / Notices 56531 2. Statutory Basis economical for the telecommunications should be included on the subject line The Exchange believes that the vendors to maintain their connections if email is used. To help the proposed rule change is consistent with so that market participants can connect Commission process and review your the provisions of Section 6 of the Act,5 through them until they are moved over comments more efficiently, please use in general, and Section 6(b)(4) of the to the new backup datacenter, and will only one method. The Commission will Act,6 in particular, in that it is designed not impose any burden on competition. post all comments on the Commission’s to provide for the equitable allocation of Internet Web site (http://www.sec.gov/ C. Self-Regulatory Organization’s reasonable dues, fees, and other charges rules/sro.shtml). Copies of the Statement on Comments on the among its members and other persons submission, all subsequent Proposed Rule Change Received From using its facilities. amendments, all written statements Members, Participants or Others The Exchange believes that it is with respect to the proposed rule reasonable, equitable, and not unfairly The Exchange has not solicited, and change that are filed with the discriminatory to eliminate the disaster does not intend to solicit, comments on Commission, and all written recovery network fee as the Exchange is this proposed rule change. The communications relating to the in the process of moving its backup Exchange has not received any proposed rule change between the datacenter to a new facility. During the unsolicited written comments from Commission and any person, other than period of this move, the Exchange members or other interested parties. those that may be withheld from the expects that the telecommunications III. Date of Effectiveness of the public in accordance with the vendors currently connected to the Proposed Rule Change and Timing for provisions of 5 U.S.C. 552, will be backup datacenter will continue to Commission Action available for Web site viewing and provide access to interested parties in printing in the Commission’s Public order to facilitate access to the Exchange The foregoing rule change has become Reference Room, 100 F Street NE., in the event the primary datacenter is effective pursuant to Section Washington, DC 20549, on official not operational. As members move their 19(b)(3)(A)(ii) of the Act 8 and business days between the hours of connections over to the new backup subparagraph (f)(2) of Rule 19b–4 10:00 a.m. and 3:00 p.m. Copies of such facility, however, the thereunder,9 because it establishes a filing also will be available for telecommunications vendors will be due, fee, or other charge imposed by inspection and copying at the principal able to provide service to an ISE. office of the Exchange. All comments increasingly narrow field of market At any time within 60 days of the received will be posted without change; participants. Given the expected filing of such proposed rule change, the the Commission does not edit personal reduction in the demand for Commission summarily may identifying information from connectivity through the temporarily suspend such rule change if submissions. You should submit only telecommunication vendors, and the it appears to the Commission that such information that you wish to make substantial hardware and other costs the action is necessary or appropriate in the available publicly. All submissions vendors have already incurred in public interest, for the protection of should refer to File No. SR–ISE–2015– establishing and maintaining investors, or otherwise in furtherance of 29 and should be submitted on or before connectivity to the backup datacenter, the purposes of the Act. If the October 9, 2015. the Exchange has determined to Commission takes such action, the Commission shall institute proceedings For the Commission, by the Division of eliminate the disaster recovery network Trading and Markets, pursuant to delegated fee. The Exchange believes that to determine whether the proposed rule authority.10 eliminating this fee during the crossover should be approved or disapproved. Brent J. Fields, period will facilitate access to the IV. Solicitation of Comments Secretary. backup datacenter while the Exchange moves over to its new facility by making Interested persons are invited to [FR Doc. 2015–23397 Filed 9–17–15; 8:45 am] it economical for the submit written data, views and BILLING CODE 8011–01–P telecommunications vendors to remain arguments concerning the foregoing, connected and to continue to provide including whether the proposed rule connectivity to interested market change is consistent with the Act. U.S. SMALL BUSINESS participants. Comments may be submitted by any of ADMINISTRATION the following methods: B. Self-Regulatory Organization’s [Disaster Declaration #14460 and #14461] Statement on Burden on Competition Electronic Comments South Carolina Disaster #SC–00028 In accordance with Section 6(b)(8) of • Use the Commission’s Internet the Act,7 the Exchange does not believe comment form (http://www.sec.gov/ AGENCY: U.S. Small Business that the proposed rule change will rules/sro.shtml); or Administration. impose any burden on intermarket or • Send an email to rule-comments@ ACTION: Notice. intramarket competition that is not sec.gov. Please include File No. SR–ISE– necessary or appropriate in furtherance 2015–29 on the subject line. SUMMARY: This is a notice of an of the purposes of the Act. The Administrative declaration of a disaster Paper Comments for the State of SOUTH CAROLINA Exchange is eliminating a fee charged to telecommunications vendors connected • Send paper comments in triplicate dated 09/10/2015. to the backup datacenter in anticipation to Secretary, Securities and Exchange Incident: Severe Storms and Flooding. tkelley on DSK3SPTVN1PROD with NOTICES of its move to a new facility. This Commission, 100 F Street NE., Incident Period: 08/30/2015 through change will facilitate access to the Washington, DC 20549–1090. 08/31/2015. backup datacenter by making it All submissions should refer to File No. EFFECTIVE DATE: 09/10/2015. SR–ISE–2015–29. This file number Physical Loan Application Deadline 5 15 U.S.C. 78f. Date: 11/09/2015. 6 15 U.S.C. 78f(b)(4). 8 15 U.S.C. 78s(b)(3)(A)(ii). 7 15 U.S.C. 78f(b)(8). 9 17 CFR 240.19b–4(f)(2). 10 17 CFR 200.30–3(a)(12). VerDate Sep<11>2014 18:47 Sep 17, 2015 Jkt 235001 PO 00000 Frm 00095 Fmt 4703 Sfmt 4703 E:\FR\FM\18SEN1.SGM 18SEN1


Document Created: 2015-12-15 09:28:17
Document Modified: 2015-12-15 09:28:17
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
FR Citation80 FR 56530 
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